Newport Wafer Fab employees still wait for Vishay deal

In 2022 the Newport Wafer Fab facility in Duffryn was the subject of a divestment order - meaning it must be sold - because of security concerns over owner Nexperia’s links to China. And in November last year American manufacturers Vishay Intertechnology announced an agreement to acquire the facility, which Nexperia bosses hailed as the site's “most viable” future.

But the deal cannot be finalised until the UK Government completes vetting of Vishay Intertechnology as the sale of the site is considered a matter of national security.

It had previously been reported this was due to be completed this month - but so far no news has been forthcoming.

Nine workers from the site travelled to Westminster last week to call on the Government to make a decision as soon as possible. 

One of them, Tony Hill, equipment engineering manager at the site, has worked at company for 12 years.

Statement given by nine employees at Nexperia (company that bought Newport Wafer Fab) read out at parliament in Westminster on Wednesday, January 24. (Image: Tony Hill)

Mr Hill said: "Until the sale to Vishay is approved, we are at risk of further job losses and ultimately closure."

Dennis Knight, representing day shift engineers at the plant, said: "The proposed acquisition by Vishay is a perfect scenario for the site, its capabilities, skilled workforce, and potential site expansion prospects.

Nexperia employees that visited Westminster include: Tony Hill, Dennis Knight, John Moylan, Mary Curtis, Gaynor Clark, Lynda Lawson, Deborah Morgan, Deborah Bayfield, Linda Winford. (Image: Tony Hill)

"The workforce are fully supportive of the new ownership as it will bring to an end the prolonged uncertainty that has been prevalent at the site since the order was placed on us.

"The knock-on effect of this will be a boost to the local Welsh and wider UK economies. However, the deal relies on Government approval."

Last week shadow secretary of state for Wales Jo Stevens wrote to the government asking for an "urgent update on the position and a timeline for the decision" on the future of the semiconductor business.

In the letter, addressed to secretary of state for Wales David Davies, Ms Stevens said the workers are in a "damaging limbo which could cost further investment and jobs".

In response, Monmouth MP Mr Davies said: “The UK Government fully understands the significance of the semiconductor industry to the South Wales economy and that this is also an uncertain time for employees of the site.

“My office has been in close contact with other government departments within the last 24 hours.

“But, as you will expect, the government cannot comment further on the detail of the divestment due to commercial and national security sensitivities.”

Newport West MP Ruth Jones attended the meeting in Parliament with Nexperia employees.

She said: "In our estimations, we read the National Security Act and we were looking at the beginning of January because they had to have 30 working days. That 30 working days is up.

Newport West MP Ruth Jones together with employees from Nexperia at Westminster. (Image: Tony Hill)

“They (the Nexperia employees) are here today to push and to ask the government to please hurry up and make that decision.”

Nick Thomas-Symonds, Torfaen MP and shadow cabinet office minister, added his support, saying: "I have many constituents who work at Nexperia. We’re obviously pushing for this decision.

“We’ve jointly as MPs sent in a letter to the government to urge them to do it as quickly as possible.”

A UK Government spokesperson said: "We are committed to ensuring that the UK semiconductor industry continues to grow and thrive across the UK, including in South Wales.

"Our ambitious Semiconductor Strategy, which was published earlier this year, is providing investment of up to £1 billion in the sector over the next decade."